Australia's largest full service stockbroking firm, RBS Morgans (RBSM), recently held its 23rd Annual Queensland Conference. The conference featured 36 companies, and afterward RBSM announced its top 5 stock picks from the 36 companies that presented. The first four were rated "outperform".
1. Suncorp Group (ASX: SUN). The bank and insurance firm has a stronghold in Queensland, which makes it well positioned to benefit from an improving property sector. The shares are currently trading at $13.18 and RBSM has a share price target of $13.52.
2. Domino's Pizza Enterprises (ASX: DMP). The franchisor has been on a strong growth trajectory as it has expanded its operations into Europe and now Japan. The shares are trading at $14.35 and RBSM has a share price target of $13.15.
3. Ardent Leisure (ASX: AAD). With entertainment operations in Australia, New Zealand and the USA and boasting a high dividend yield, the stock is garnering the attention of investors. The shares are trading at $1.92 and RBSM has a share price target of $2 for the stock.
4. Freedom Foods (ASX: FNP). The specialty food manufacturer's share price has rocketed 394% in the past year, and is currently trading at $3.31. RBSM has a share price target of $2.92 on the stock.
5. GWA Group (ASX: GWA) is rated as neutral by RBSM, but it did round out the Top 5 picks. The diversified group offers investors exposure to a range of building related products, which is appealing given the outlook for the home building and property sectors. The shares are currently trading at $3.20 and RBSM has a share price target of $3.03.
Foolish takeaway
Buying quality stocks at reasonable valuations over the long-term has proven a successful strategy for many investors. The above stocks all have a number of positive attributes that make them good candidates for an investor's watchlist.
Interested in our #1 dividend-paying stock? Discover The Motley Fool's favourite income idea for 2013-2014 in our brand-new, FREE research report, including a full investment analysis! Simply click here for your FREE copy of "The Motley Fool's Top Dividend Stock for 2013-2014."
More reading
- Does your stock have a durable competitive advantage?
- Why are these 3 stocks beating the ASX 100 Index's recent gain?
Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.
